Feds approve work requirement for some adults covered by Wisconsin's BadgerCare Plus

Federal officials signed off Wednesday on Gov. Scott Walker's plan to require some people to work to receive health insurance through the BadgerCare Plus program, drawing attention to one of the governor’s initiatives less than a week before the election.

The requirement would apply to healthy people who have no dependent children, who are under 50 and who haven’t worked for four years.

BadgerCare Plus, the state’s largest Medicaid program, is available to adults with incomes below the poverty threshold. That is $12,140 this year and increases slightly each year.

The work requirement would not apply to people who are disabled or caregivers.

“We want to remove barriers to work and make it easier to get a job, while making sure public assistance is available for those who truly need it," Walker said in a statement.

The Republican governor faces state schools Superintendent Tony Evers in Tuesday's election. Aides to Evers did not say Wednesday whether he backs work requirements for some adults covered by BadgerCare Plus.

Three other states — Arkansas, Indiana and New Hampshire — have received approval for similar initiatives, and other eight states are seeking federal approval for work requirements.

Kentucky’s plan to impose work requirements was struck down by a court.

Most of the states plan to impose much more stringent work requirements than those approved for Wisconsin.

Under Wisconsin’s plan — which will take about a year to implement — someone would lose coverage for six months if he or she has not worked for four years. The person then could re-enroll and would again be eligible for four years.

People who work 80 hours a month or participate in job training, volunteer community service or a qualified work program will meet the requirements for continued coverage.

“In Wisconsin, where the unemployment rate has rested just at or below 3 percent through this entire year, state leaders recognize that employers are struggling to find talent,” Seema Verma, administrator of Centers for Medicare & Medicaid Services, said in a statement.

Collecting premiums from some adults without dependent children. The proposal has raised questions on what it will cost the state to collect premiums that could be as low as $4 a month and how it will affect people who don’t have checking accounts or credit cards.

Charging some adults an $8 co-payment for unnecessary visits to hospital emergency departments. That proposal could be difficult to implement given that hospitals will not know if a visit is unnecessary until after a patient has been treated. The Wisconsin Hospital Association has said it is “highly likely” that most of the co-payments won’t be collected and that the change essentially will result in a rate cut for emergency department visits.

The state also won approval to allow its BadgerCare Plus program to cover short-term residential treatment for substance abuse in freestanding behavioral health hospitals. Those hospitals have been barred from billing Medicaid programs for residential treatment.

Patrick Marley of the Journal Sentinel staff contributed to this report.